Medicaid is a jointly run federal-state program that will assist with long-term care costs.
Medicare does not pay for an extended stay in a nursing home or an assisted-living community. The costs associated with this type of care are exorbitant, and they are rising year-by-year.
When you combine the average amount of savings that the typical individual has for retirement with the average cost for a stay in a nursing home the numbers simply don’t add up. As a result, Medicaid actually pays for most the long-term care that is received by elder Americans.
There are upper financial asset limits that you must stay within to qualify for Medicaid. You cannot have more than $2000 in countable assets.
Many people question the responsibility of the healthy or community spouse. If your spouse is entering a long-term care facility, can you keep your share of the assets without hindering your spouse’s Medicaid eligibility?
The answer is yes, up to a point. You can continue to live in the home that you shared with your spouse without any upper equity limit.
And, you can keep half of the countable community assets up to a limit that stands at $115,920 in 2013.
Another thing to understand is the Monthly Maintenance Needs Allowance. If your spouse was providing income that you rely on to maintain a basic standard of living you may draw from that income. The maximum monthly allowance in 2013 is $2898.
If you would like to explore Medicaid planning in detail simply contact our firm to schedule a free consultation.